Indicate in each of the spaces provided the effect of the described errors on the various elements of a company's financial statements, All sales and purchases are on credit. Assume a periodic inventory system (9 points: 0,5*18) Use the following codes: O = amount is overstated; U - amount is understated: NE = no effect 2 A B I !!! II! Accounts receivable Inventory Accounts payable Sales Cost of goods sold Net income Goods sold in transit shipped "fo.b. destination were recorded as a sale and were included in ending inventory. Goods purchased in transit shipped "lo.b. shipping point" by a supplier were recorded as a purchase but were excluded from ending inventory. Goods held on consignment from a consignor were recorded as a purchase and included in ending inventory count